ALBANY, NY — Gov. Kathy Hochul on July 22 announced that an additional $200 million is now available for zero-emission school buses through the third installment of funding from the $4.2 billion Clean Water, Clean Air, and Green Jobs Environmental Bond Act of 2022. 

The funding, distributed through the New York School Bus Incentive Program (NYSBIP), supports the purchase of electric buses, charging infrastructure and fleet electrification planning as public schools transition to zero-emission technologies that improve air quality and reduce pollution in communities, according to Hochul's office. 

“New York State is leaning into our Environmental Bond Act commitment to provide public schools with the funding and resources to make electric school buses more affordable,” Governor Hochul said. “We are leaving no school behind as we reduce pollution from vehicles so every student can benefit from clean air while building healthier, more sustainable communities for New Yorkers across the state.”

Administered by the New York State Energy Research and Development Authority (NYSERDA), NYSBIP provides incentives to eligible school bus fleet operators, including school districts and school bus operators, that purchase zero-emission buses. It also offers charging infrastructure vouchers to help support the installation of Level 2 or DC fast chargers and provides funding to develop fleet electrification plans. This support helps ensure safer, more reliable transportation for students while giving schools the tools they need to make smart, cost-effective upgrades, according to Hochul's office. 

The funding is available on a first-come, first-served basis with incentive amounts covering up to 100 percent of the incremental cost of a new or repowered electric school bus. This helps offset some or all of the difference in purchase price between zero-emission buses and comparable diesel or gasoline buses. All school bus fleet operators in New York State can also qualify for funding for fleet electrification plans, which provide a customized roadmap for electric bus adoption.

Modernizing public school transportation with zero-emission buses is a priority for Governor Hochul to ensure the health of New York students. The FY25-26 New York State Budget continued to build momentum for school districts to put electric school buses on the road this year while providing districts with additional flexibility and time to complete their electrification plans and get hands-on experience with this new technology. The new independent range estimate requirement for bus manufacturers will also give school districts greater confidence that the buses will meet specific mileage and route conditions.

Since NYSBIP’s launch, 88 school districts have applied for funds to purchase 529 buses, which includes 50 priority school districts accounting for 406 buses, and 400 districts are now working with NYSERDA to create Fleet Electrification Plans.